HomeMy WebLinkAboutResolutions - 2022.02.24 - 3531240A K LA
COUNTY MICHIGAN
BOARD OF COMMISSIONERS
February 24, 2022
MISCELLANEOUS RESOLUTION #22-040
Sponsored By: William Miller III
IN RE: Water Resources Commissioner - Contract Connection of the City of Pontiac Sewage Disposal
System to the Clinton -Oakland Sewage Disposal System
Chairperson and Members of the Board:
WHEREAS several sections of sewer pipe in the City of Pontiac Sewage Disposal System have been identified
as needing repair, rehabilitation, or replacement; and
WHEREAS the City of Pontiac Sewage Disposal System has determined that the most efficient and cost-
effective method of resolving this matter is to replace some of the existing pipe and connect a portion of
Pontiac's Sewage Disposal System to a sewer owned by the Clinton -Oakland Sewage Disposal System for
conveyance to the Clinton River Water Resources Recovery Facility; and
WHEREAS both the City of Pontiac Sewage Disposal System and the Clinton -Oakland Sewage Disposal
System are owned by the County of Oakland and maintained and operated by the Water Resources
Commissioner on behalf of the County; and
WHEREAS the Clinton -Oakland Sewage Disposal System was created in 1967 and now serves 12
municipalities including, Auburn Hills, Clarkston, Independence Township, Lake Orion, Oakland Township,
Orion Township, Oxford Township, Oxford Village, Rochester, Rochester Hills, Waterford Township and West
Bloomfield Township; and
WHEREAS each of the 12 municipalities was required to pay its fair and equitable proportional amount for
connecting to the Clinton -Oakland Sewage Disposal System's force main; and
WHEREAS the City of Pontiac Sewage Disposal System has agreed to pay its fair share to likewise connect to
the Clinton -Oakland Sewage Disposal System; and
WHEREAS it has been determined that an equitable "buy in" charge for connecting to the Clinton -Oakland
Sewage Disposal System's force main is 10.7716% of the initial project costs, which amounts to $400,048; and
WHEREAS in the subsequent rate -setting process, the City of Pontiac Sewage Disposal System will contribute
the same 10 7716% of the project cost.
NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners hereby approves
the transfer of $400,048 from the City of Pontiac Sewage Disposal System as its fair and equitable share to the
Clinton -Oakland Sewage Disposal System for the purpose of connecting to the Clinton -Oakland Sewage
Disposal System force main.
BE IT FURTHER RESOLVED the FY 2022 budget is amended as detailed in the attached Schedule A.
Chairperson, the following Commissioners are sponsoring the foregoing Resolution: William Miller III.
DateFebruary 25, 2022
David Woodward, Commissioner
't/yJnw�WI1vy�
`�" Date: February 28, 2022
Hilarie Chambers, Deputy County Executive II
I
1
Date: March 01, 2022
Lisa Brown, County Clerk / Register of Deeds
COMMITTEE TRACKING
2021-02-09 Economic Development & Infrastructure - Recommend to Board
2021-02-24 Full Board
VOTE TRACKING
Motioned by Commissioner Penny Luebs seconded by Commissioner Karen Joliat to adopt the attached
Contract: Connection of the City of Pontiac Sewage Disposal System to the Clinton -Oakland Sewage Disposal
System.
Yes: David Woodward, Michael Gingell, Michael Spisz, Karen Joliat, Kristen Nelson, Eileen Kowall,
Christine Long, Philip Weipert, Gwen Markham, Angela Powell, Thomas Kuhn, Charles Moss, Marcia
Gershenson, William Miller III, Yolanda Smith Charles, Charles Cavell, Penny Luebs, Janet Jackson, Gary
McGillivray. Robert Hoffinan (20)
No: None (0)
Abstain: None (0)
Absent: (0)
The Motion Passed.
ATTACHMENTS
1. WRC MR Connect City of Pontiac SDS to Clinton Oakland SDS Schedule A
2. Copy of Capital Cost Allocation for POC Perry Street Forcemain
3. Memo to Accompany POCSDS-COSDS Resolution
4. COPSDS-COSDS Agreement
STATE OF MICHIGAN)
COUNTY OF OAKLAND)
I, Lisa Brown, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and
accurate copy of a resolution adopted by the Oakland County Board of Commissioners on February 24, 2021
with the original record thereof now remaining in my office.
In Testimony Whereof, I have hereunto set my hand and affixed the seal of the Circuit Court at Pontiac,
Michigan on Thursday, February 24, 2022.
Lisa Brown, Oakland County Clerk/Register of Deeds
Oakland County, Michigan
Water Resources Commissioner- Connection, of Me City of Pontiac Sewage Disposal System to the Clinton Oakland Sewage Disposal System
Schedule "A" DETAIL
Operating Funtl Budget Project
RIE Fund Name Division Name (Funtl# I Division 41 Pmgmm#IAccou.#I Ung n Affiiiate Reference) UnH
R Ponkac Sewer Fund Drain Commissioner AEmin 57434 6010101 149140 665822
R Clinton Oakland Sewage Disposal System Fund Dram Commissioner Admin 58600 6010101 149140 665822
R Ce-don Oakland Sewage Disposal System Fund Drain CommissionerAdmin 58600 6010101 149140 695500 574M
E Ponkac Sewer Fund
Dram Commissioner Admin 574U 6010101 149140 788001 58600
Project# ActuaitylAnalysail Account TRle
Planned Use of Balance
Planned Use of Balance
Transfer In
Total Revenues
Transfer Out
Total Expenses
FY 2022 FY 2023 FY 2024
Amendment Amendment Amendment
$ 401 $ - $
(400,048J - -
400.048
$ 400,M s - s
S 400,048 $ - S -
$ 400,048 S - $
Line Description
(a) Total Forcemain Length (feet)
(b) Estimated Length of Forcemain Shared (feet)
(c) Percent of Forcemain Shared by Length
(d) Average PSPS Flow Rate (cfs)
(e) Average Bay Street Flow Rate (cfs)
(f) Estimated Buy -In Percent
(g) Perry Street Forcemain Bid Tab Cast
(h) Percentage of Cost
(i) Estimated Buy -in Cost
ValuelNotes
11,000
10,299 from FTCH
93.627% (b/a)
11.3
1.3
11.504% (e/d)
$3,714,028 from PSPS Bid Tab
10.771% (f x c)
$400,048.001(h x g)
From: Sedki, Maria <mesedkiLafishbeck.com>
Sent: Wednesday, October 6, 2021 12:46 PM
To: Coburn, Brian ccoburnbr@oakgov.com>; Bantios, Evans
<banti ose@ oa kgov.com>
Subject: FW: Silverdome/Bay St
650 feet from PSPS is the connection distance from PSPS. The length
of pipe DS of the connection to the 42" is approx. 8590 feet.
The total length of the PSPS pipe from the building to the connection
to the existing gravity outlet is approx. 9,240.
9240
Form DC-001
OAKLAND COUNTY MEMORANDUM
WATER RESOURCES COMMISSIONER
TO: William Miller, Chairperson Economic Development & Infrastructure Committee
FROM: Brian Coburn, P.E., WRC Manager
SUBJECT: Shared Use of Clinton -Oakland Sewage Disposal System by the Pontiac Sewage
Disposal System.
DATE: January 12, 2022
Recognizing that several sections of sewer pipe in the Pontiac Sewage Disposal System need repair,
rehabilitation, or replacement, the Oakland County Water Resources Commissioner (WRC) and his,
staff embarked on a project to find the most efficient and cost-effective solution.
That solution involves replacing some of the existing pipe and connecting a portion of Pontiac's
Sewage Disposal System to a sewer owned by the Clinton -Oakland Sewage Disposal System for
conveyance to the Clinton River Water Resource Recovery Facility. Both sewer systems are owned
by Oakland County and maintained and operated by the WRC.
Currently, the Clinton -Oakland system, which was created in 1967, serves a dozen municipalities
including: Auburn Hills, Clarkston, Independence Township, Lake Orion Village, Oakland Township,
Orion Township, Oxford Township, Oxford Village, Rochester, Rochester Hills, Waterford Township
and West Bloomfield Township. Each was required to pay its fair and equitable proportional amount
to connect to the Clinton -Oakland system. Requiring Pontiac to pay its equitable portion is a
proposition endorsed by each of the impacted municipalities, including Pontiac.
Pontiac's equitable "buy -in" charge for connecting to the force main represents 10.7716% of the initial
project costs, or $400,048. In all subsequent rate -setting contributions, Pontiac's share will be
10.7716% of the project cost. The shared use of the sanitary sewer by both systems results in a
project savings of 25%, which saved the rate payers in the City of Pontiac approximately $500,000.
These funds can now be used to rehabilitate other components of the Pontiac System.
A budget amendment authorizing the transfer of $400,048 from the City of Pontiac Sewage Disposal
System as its fair and equitable share to the Clinton -Oakland Sewage Disposal System for the
purpose of connecting to the Clinton -Oakland Sewage Disposal System force main is required.
Requested Action: Adopt the corresponding resolution authorizing the
transfer of funds as described above.
OAKLAND COUNTY WATER RESOURCES COMMISSIONER `
Page 1 of 1 Rev.: 02/12/2018
SYSTEM CONNECTION AGREEMENT
BETWEEN
THE CITY OF PONTIAC SEWAGE DISPOSAL SYSTEM
rml e
THE CLINTON-OAKLAND SEWAGE DISPOSAL SYSTEM
THIS AGREEMENT is made and entered into as of the 14th day of December, 2021, by
and among the COUNTY OF OAKLAND, a Michigan constitutional corporation, by and through
its Water Resources Commissioner, County Agency, on behalf of the CITY OF PONTIAC
SEWAGE DISPOSAL SYSTEM (hereinafter referred to as the "City of Pontiac Sewage Disposal
System"), and the COUNTY OF OAKLAND, a Michigan constitutional corporation, by and
through its Water Resources Commissioner, County Agency, on behalf of the CLINTON-
OAKLAND SEWAGE DISPOSAL SYSTEM, (hereinafter referred to as the "Clinton -Oakland
Sewage Disposal System" and together with the City of Pontiac Sewage Disposal System, the
"Systems").
RECITALS
WHEREAS the City of Pontiac Sewage Disposal System was established pursuant to
the City of Pontiac Sewage Disposal System Contract dated April 19, 2012, and the provisions
of Act 342, of the Public Acts of Michigan, 1939, as amended ("Act 342"), with the Oakland
County Water Resources Commissioner as the County Agency for the City of Pontiac Sewage
Disposal System; and
WHEREAS the Clinton -Oakland Sewage Disposal System was established by
Miscellaneous Resolution No. 4342, adopted June 22, 1964, pursuant to the provisions of Act
185, of the Public Acts of Michigan, 1957, as amended, by the Oakland County Board of
Supervisors (now known as the Oakland County Board of Commissioners); and
WHEREAS the County of Oakland designated the Water Resources Commissioner as
the County Agency for the Systems as provided by Act 342; and
WHEREAS the Systems are currently owned by Oakland County, and both are operated
and maintained by the Water Resources Commissioner's office as County Agency pursuant to
Act 342; and
WHEREAS the Clinton -Oakland Sewage Disposal System financed and constructed the
Perry Street Pump Station and force main to divert a portion of the flow from the Clinton -
Oakland Sewage Disposal System to the Clinton River Water Resource Recovery Facility
(CRWRRF) pursuant to the Wastewater Services Agreement between the parties dated April 1,
2013; and,
WHEREAS due to the deteriorating condition of some sewer pipes downstream of the
Bay Street Pump Station in the City of Pontiac Sewage Disposal System, it has been
determined that the most efficient and cost-effective means of addressing this issue is to
abandon the pipes currently utilized and connect said pump station to the Clinton -Oakland
Sewage Disposal System force main discharging to the Clinton River Water Resource Recovery
Facility; and
WHEREAS the cost to construct the Perry Street force main was $3,714,028, and
93.627 percent of the force main would carry flow from both the Clinton -Oakland Sewage
Disposal System and the City of Pontiac Sewage Disposal System. The City of Pontiac
Sewage Disposal System contributes 11.504 percent of the flow in the shared pipe making its
share of the capital cost for the force main $400,048; and,
WHEREAS this Agreement is necessary to promote the health and welfare of the
residents of certain municipalities served by the Systems, which services and improvements
would likewise benefit Oakland County and its residents, and the parties hereto have concluded
that the terms contained in this Agreement represent the most economical and efficient solution
to the deteriorated condition of the existing pipes in the City of Pontiac Sewage Disposal
System; and
WHEREAS each of the communities currently served by the Clinton -Oakland Sewage
Disposal System was required to pay for connecting to the Clinton -Oakland Sewage Disposal
System's force main; and
WHEREAS the Water Resources Commissioner has agreed to transfer funds from the
City of Pontiac Sewage Disposal System to the Clinton -Oakland Sewage Disposal System as a
one-time, capital "buy -in" connection fee in the amount of $400,048; and
2
WHEREAS the $400,048 represents a proportional amount calculated to be 10.771
percent to compensate the Clinton -Oakland Sewage Disposal System for the City of Pontiac
Sewage Disposal System's share of the construction cost of a portion of the force main in
exchange for the permanent use of a portion of the force main; and
WHEREAS after connection to the Clinton -Oakland Sewage Disposal System, the City
of Pontiac Sewage Disposal System will annually set such rates and charges as are necessary
to contribute each year to the Clinton -Oakland Sewage Disposal System an amount equal to
10.771 % of all operations and maintenance as well as future capital costs for the shared use
sewer identified in Exhibit A; and
WHEREAS the County owns the Systems, and the payment from one system to the
other involves a transfer of funds held by the County for the benefit of the respective system
pursuant to the General Appropriations Act, Act 621 of the Public Acts of Michigan, 1978,
("General Appropriations Act").
THEREFORE, IN CONSIDERATION OF THE PREMISES AND THE COVENANTS OF
EACH OTHER, THE PARTIES HERETO AGREE as follows:
1. Initial Caoital Contribution. A one-time capital contribution shall be made by the City
of Pontiac Sewage Disposal System to the Clinton -Oakland Sewage Disposal
System in the amount of $400,048.
2. Future Operation and Maintenance of Share Sanitary Sewer. The City of Pontiac
Sewage Disposal System will annually set such rates and charges as are necessary
to contribute each year to the Clinton -Oakland Sewage Disposal System in an
amount equal to 10.771 percent of all operations and maintenance as well as future
capital costs for the shared use sewer, which is identified in Exhibit A.
3. Prohibition of Stormwater Connections. The County Agency shall establish and
promulgate general rules and regulations controlling the discharge of sanitary
sewage into the Clinton -Oakland Sewage Disposal System.
4. Public Puroose. The parties enter into this Agreement to serve the public health and
welfare of the people of the State of Michigan, especially in the service district of the
Clinton -Oakland Sewage Disposal System.
5. Amendments. This Agreement may be amended only in writing executed by the
persons with legal authority to bind the respective parties to this Agreement.
6. Jurisdiction. The rights and remedies set forth in this Agreement are not exclusive
and are in addition to any of the rights or remedies provided by law or equity. This
Agreement and all actions arising under it shall be governed by, subject to, and
construed according to the law of the State of Michigan.
7. Term. This Agreement shall become effective on December 14, 2021. This
Agreement shall terminate on a date which is forty (40) years from December 14,
2021, more specifically December 13, 2061, unless automatically renewed as
provided in Paragraph 12. This Agreement shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns. This
Agreement may be executed in any number of counterparts.
8. Termination. Notwithstanding any other term or provision in any other section of this
Agreement, either party, upon a minimum of 180 calendar days written notice to the
other party, may terminate this Agreement for any reason, including convenience,
without incurring any penalty, expense, or liability to the other party. The effective
date for any such termination shall be clearly stated in the notice.
9. Term Renewal. The Agreement shall automatically renew at the conclusion of the
initial term ending on December 13, 2061, for an additional ten (10) years unless
written notification to the County Agency is provided on or before 180 calendar days
in advance of the date of renewal stating its intent not to renew this Agreement. The
automatic renewals of this Agreement shall not preclude a review of its terms and the
parties are encouraged to reaffirm or amend its terms as necessary. The parties
may, in writing, mutually agree to a longer renewal term.
10. Governino Law. This Agreement is made and entered into in the State of Michigan
and shall in all respects be interpreted, enforced and governed under the laws of the
State of Michigan. The language of all parts of this Agreement is intended to and, in
all cases, shall be construed as a whole according to its fair meaning, and not
construed strictly for or against any party. As used in this Agreement, the singular or
plural number, possessive or non -possessive shall be deemed to include the other
whenever the context so suggests or requires.
11. Reservation of Riohts; Governmental Function. This Agreement does not, and is not
intended to impair, divest, delegate, or contravene any constitutional, statutory,
and/or other legal right, privilege, power, obligation, duty, or immunity of the parties.
E
In addition, the parties maintain that the obligations set forth in this Agreement will be
in the exercise or discharge of a governmental function.
12. Severability. If any provision of this Agreement or the application to any person or
circumstance is, to any extent, judicially determined to be invalid or unenforceable,
the remainder of the Agreement, or the application of the provision of persons or
circumstances other than those as to which it is invalid or unenforceable, is not
affected and is enforceable, provided the invalid provision does not substantially alter
the Agreement or make execution impractical.
IN WITNESS WHEREOF, the parties hereto have caused this contract to be executed and
delivered by the undersigned, being duly authorized by their respective governing bodies.
Executed on December 14, 2021
Executed on December 14, 2021
COUNTY OF OAKLAND
By:
Nash, Water Resources Commissioner
County Agency)
City of Pontiac Sewage Disposal System
COPNTY OF OAKLAND
By:
Nash, Water Resources Commissioner
County Agency)
Clinton -Oakland Sewage Disposal System
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WPTER RESOUPCE$ COMMISSIONER
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EXHIBIT A
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EXHIBIT B
CAPITAL COST CALCULATION
Line
Description
Value j
(a)
Total Forcemain Length (feet)
11,000
(b)
Estimated Length of Forcemain Shared (feet)
10,299
(c)
Percent of Forcemain Shared by Length
93.627%
(d)
Average PSPS Flow Rate (cfs)
11.3
(e)
Average Bay Street Flow Rate (cfs)
1.3
(f)
Estimated Buy -In Percent
11.504%
(g)
Perry Street Forcemain Bid Tab Cast
$3,714,028
(h)
Percentage of Cost
10.771%
(i)
Estimated Buy -In Cost
I $400,048.00
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